Economic Insights from CNBC Editor

On Wednesday, CNBC editor Rick Santelli shared observations regarding the recent GDP figures and the implications of President Donald Trump’s announced tariffs. He mentioned that, despite worries about what he called “liberation date” tariffs, the gross domestic product (GDP) showed an increase of about 3%, according to the Bureau of Economic Analysis.

This growth was unexpected, leading to a reduction in imports. Santelli emphasized that the GDP figures surpassed many forecasts. He pointed out a stark contrast with the previous quarter, which had been notably weaker—the lowest since the first quarter of 2022 in terms of consumption.

He remarked that the consumption numbers currently are quite feeble and likened them to the darkest days of COVID, when there was a significant decline.

“However, outside of the pandemic, when have we seen consumption drop this low? The last occurrence was around June 2011,” he noted. On inflation, Santelli mentioned that the pricing index was lower than anticipated, clocking in at around 2%. This was minimal compared to previous years, particularly referencing the third quarter of 2024 and its 1.9% rate.

During an event in the Rose Garden on April 2, Trump had introduced these mutual tariffs aimed at correcting imbalances in trade. “Squawk Box” host Joe Kernen suggested that some critics of Trump might highlight anomalies to portray the economy as in distress.

Furthermore, Senator Elizabeth Warren raised concerns about rising inflation and the negative impact of the tariffs. In response to the economic data Santelli discussed, Kernen remarked on the absence of the dire inflation effects some had predicted. “None of these alarming scenarios have taken place, yet discussions continue as if they have,” he observed.

To that, Santelli added an important takeaway: “Don’t let a House member manage your money,” implying a critique of economic oversight from less experienced individuals.